Bristol Case Study
Using invoice finance to pay agency staff workers
Mr Scott – Invoice Finance
My business provides nurses and healthcare workers in the domiciliary healthcare sector and has been trading for 6 years. I was introduced to Pinnacle by my accountant as I was using invoice finance to pay agency staff workers on a weekly basis. Without invoice finance to support cash flow it is very difficult to maintain or grow my business. This is because I invoice the council and other customers on 30 or 60-day payment terms. I still have to pay the healthcare workers and nurses at the end of every week.
With my previous invoice finance facility, I didn’t use it for every customer and only had £40,000 of funding provided out of a potential £150,000. I was being charged a minimum fee for not using the facility enough. Invoice finance became expensive for me and wanted to move away from it but needed something to support cash-flow.
I spoke to my accountant who advised to speak to a broker who sources cash-flow funding. They recommended Pinnacle Business Finance in Bristol as they had helped many of their clients before. He introduced us and set up an introduction call. The broker at Pinnacle Finance was friendly and really understood how invoice finance worked. I explained that I wasn’t using the current invoice finance facility and it was too expensive.
He explained that he had seen many businesses like mine and selective invoice finance was far more cost effective. I was unaware of selective invoice finance and how it worked. They explained that I could choose what invoices I wanted funding on without a monthly minimum fee. I asked how I could move from one invoice financier to the other.
I sent all the information over to the broker at Pinnacle and he looked at our current invoice finance fee’s. Then the broker compared them against other invoice finance facilities. It only took Pinnacle a week and the new facility was set up. I gave notice to my previous invoice finance provider and moved to the new one.
It was a lot easier than I thought to move invoice finance providers. We have calculated that we will save over £21,000 per annum with the new invoice finance facility. So, I strongly recommend if you haven’t recently reviewed you invoice finance facility that you speak to Pinnacle Business Finance.